London stocks track declines in Asia; Ladbrokes owner slides

The blue-chip FTSE 100 was down 0.9% and the mid-cap FTSE 250 was 0.6% lower, tracking declines across Europe and Asia a day after sentiment was lifted by hopes of a COVID-19 vaccine. Data showed China's economy returned to growth in the second quarter, but retail sales were down 1.8% last month, pointing to a bumpy outlook at home and overseas.

The FTSE 100 slipped from three-week highs on Thursday on a surge in global coronavirus infections and a surprise drop in China's retail sales, while Ladbrokes owner GVC tumbled after it said its long-time chief executive officer would step down.

GVC Holdings fell 6% to the bottom of the FTSE 100 after it said Kenny Alexander was retiring after 13 years at the helm. The blue-chip FTSE 100 was down 0.9% and the mid-cap FTSE 250 was 0.6% lower, tracking declines across Europe and Asia a day after sentiment was lifted by hopes of a COVID-19 vaccine.

Data showed China's economy returned to growth in the second quarter, but retail sales were down 1.8% last month, pointing to a bumpy outlook at home and overseas. "Possibly the second wave of COVID-19 headline deluge from the United States is having a decidedly negative effect on Chinese consumer behavior, which could be extrapolated globally using China as a blueprint," said Stephen Innes, markets strategist at AxiCorp.

Personal goods firms, miners, and homebuilders were among the biggest decliners on the day. A raft of global stimulus helped the FTSE 100 rally about 27% from its March lows, but it is still down about 17% on the year and has trailed its European and Wall Street peers as economic data points to a slower-than-expected post-pandemic rebound.

The latest data showed the slide in Britain's jobs market eased last month, although the figures did not include the most recent slew of job losses and analysts said they represented a "calm before the storm". In earnings-related news, recruiter Hays slipped 4.3% to the bottom of the FTSE 250 as it warned of lower annual profits amid a slump in fee income, while miner Anglo American shed 2.5% after posting an 18% decline in overall second-quarter output.